Contribution Margin, Break-Even Units, Contribution Margin Income Statement, Margin of Safety Cheetah Company manufactures custom-designed skins (covers) for iPods and other portable MP3 devices. Variable costs are $11.20 per custom skin, the price is $16, and fixed costs are $105,600. Required: 1. What is the contribution margin for one custom skin? Round your answer to the nearest cent. 105,588 X per custom skin Accounting numeric field 2. How mal custom skins leetah Company sell to break even? 3. If Cheetah Company sells 23,000 custom skins, what is the operating income? 4. Calculate the margin of safety in units and in sales revenue if 23,000 custom skins are sold. Margin of safety in units units Margin of safety in sales revenue
Contribution Margin, Break-Even Units, Contribution Margin Income Statement, Margin of Safety Cheetah Company manufactures custom-designed skins (covers) for iPods® and other portable MP3 devices. Variable costs are $11.20 per custom skin, the price is $16, and fixed costs are $105,600. Required: 1. What is the contribution margin for one custom skin? Round your answer to the nearest cent. 105,588 X per custom skin Accounting numeric field custom skins 2. How mal 3. If Cheetah Company sells 23,000 custom skins, what is the operating income? heetah Company sell to break even? 4. Calculate the margin of safety in units and in sales revenue if 23,000 custom skins are sold. Margin of safety in units Margin of safety in sales revenue Feedback Check My Work units 1. Calculate contribution margin per unit (Price - Variable cost).
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